Saudi Arabia Steps Up Support for Industrial SMEs

New Initiative to Empower Growth in Industrial and Service Sectors

In an effort to bolster the development of small and medium-sized enterprises (SMEs), Saudi Arabia’s Ministry of Industry and Mineral Resources is set to introduce a new initiative aimed at enhancing the industrial sector’s performance.

During a recent event in the nation’s capital, Riyadh, Bandar Alkhorayef, the Minister of Industry and Mineral Resources, disclosed information about the upcoming program.

Alkhorayef emphasized that the initiative is designed to offer entrepreneurs and innovators valuable chances to flourish and scale up across a range of industrial activities.

At the conclusion of an industrial business accelerator and incubator initiative, the minister noted that the support provided by this new initiative would not only target industrial activities but would also encompass the services and logistics sectors, as reported by the Saudi Press Agency.

The minister outlined that the Kingdom’s industrial strategy is formulated with the goal of broadening the base of established and inventive industrial SMEs, thereby equipping them to compete on a global scale.

Industrial SMEs account for approximately 92 percent of the total industrial establishments in Saudi Arabia, contribute to 34 percent of the overall investment in the sector, and employ 55 percent of the workforce.

The minister also highlighted the recently concluded Nomu initiative, an accelerator and incubator program, as evidence of the ministry’s dedication to initiating programs that support innovative and emergent projects.

This initiative also strives to enhance the industrial SMEs’ capabilities and cultivate an environment that is conducive to the growth of industrial entrepreneurs.

Since its call for registrations in May of the previous year, Nomu has brought in 17 high-caliber industrial projects spearheaded by Saudi industrial leaders. This incubator is designed to foster new businesses, stimulate idea generation, and assist in the swift development and establishment of SMEs.

Business incubators like Nomu mainly target entrepreneurs in the nascent stages of business development, offering a suite of services including short-term programs, consultations, training, and potential financial assistance.

The ministry’s spokesperson, Jarrah bin Muhammad Al-Jarrah, stated in August that such initiatives are aligned with Vision 2030 and the National Industrial Strategy, aiming to diversify Saudi Arabia’s industrial base and promote the global competitiveness of SMEs.

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